Recent Examples of deregulation from the Web
In the midst of the tax reform package favoring corporations and the wealthy receiving its final vote, deregulation is also being undertaken largely behind closed doors.
Corporations have benefited from the president’s emphasis on tax cuts and deregulation.
Approval of the Sinclair-Tribune Media deal appears likely because the FCC, under Pai, an appointee of President Donald Trump, has been relaxing rules for broadcast ownership and has looked favorably on deregulation.
His justifications are the same justifications put forward in any defense of deregulation, whether it’s in the financial industry or the oil and gas sector.
Trump also compared his efforts at deregulation to Abraham Lincoln, the nation's 16th president.
And other things: deregulation, tax reform, hopefully health care.
The Orlando Sentinel's Scott Maxwell notes the deaths came after years of deregulation and lax oversight.
In practice, this will almost certainly lead to deregulation, insufficient protections for minorities, women, and LGBT people, and the subjugation of employees' interests to those of employers, particularly big business.
These example sentences are selected automatically from various online news sources to reflect current usage of the word 'deregulation.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.
First Known Use of deregulation
Financial Definition of DEREGULATION
What It Is
How It Works
The transportation industry is one of the most famous industries to feel the effects of deregulation. In 1887, Congress established the Interstate Commerce Commission (ICC), which regulated the railroad industry. Over time, the ICC came to regulate the trucking industry as well. The ICC licensed all truck operators, and it required new entrants to prove they were "necessary for the public convenience" in order to obtain licenses. The ICC allowed established shippers to argue whether the ICC should deny a license to a new entrant. The ICC also reviewed shipping rates, dictated what products the carriers could haul, what routes they could travel, and the cities they could do business in.
The inefficiency imposed by regulation and its focus on helping companies more than consumers became very apparent once the Motor Carrier Act of 1980 deregulated the trucking industry. The number of carriers nearly doubled in the four years after the legislation, freight rates fell as much as 20% in one year, overall industry wages fell, and many inefficient companies went out of business.
A similar situation occurred in the airline industry, which was regulated by the Civil Aeronautics Board (CAB) until 1978. Like the ICC, the CAB issued licenses, set fares, and regulated where carriers did business. The Airline Deregulation Act of 1978 eliminated these constraints, and the airline industry quickly expanded in employment, miles flown, and number of passengers.
Why It Matters
Like most economic policy, deregulation is controversial. Most economists agree that deregulation lowers an industry's barriers to entry and generally increases efficiency, competition, entrepreneurship, and innovation. Established producers have less control over competitors in a deregulated environment. Deregulation also benefits the broader economy because it no longer requires taxpayers to support the regulatory agency's overhead.
Overall, deregulation tends to increase choices and lower prices for consumers. In some cases, however, deregulation can be damaging to consumers, especially when natural monopolies are involved (such as electric utilities or other situations with immense infrastructure or technical needs). Some also point out that the elimination of weaker competitors in a deregulated environment means the loss of jobs.
Seen and Heard
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